DPL Explores Sale of Gas Business and Continues Stock Buyback.DAYTON, Ohio--(BUSINESS WIRE)--Sept. 28, 1999-- DPL (Digital PowerLine) An earlier technology for transmitting a 1 Mbps data signal over electric power lines from Nortel Networks. It was developed in the late 1990s, but later abandoned due to implementation difficulties. See broadband over power lines. Inc. (NYSE NYSE See: New York Stock Exchange :DPL) confirmed today that it is exploring the sale of its natural gas retail distribution business unit. In June of this year, DPL announced that it would cut links between various business operations Business operations are those activities involved in the running of a business for the purpose of producing value for the stakeholders. Compare business processes. The outcome of business operations is the harvesting of value from assets , including baseload generation, peaking units, gas operations, electric transmission and distribution and marketing. The June announcement was in response to new Ohio legislation requiring energy companies to separate their various business units. In separating the businesses, DPL said it would evaluate all business units which most complement its going-forward strategy and would explore divesting those units not fitting the strategy. DPL said that in the new energy environment, both energy consumers and suppliers will be considering new options. DPL's natural gas retail distribution business has 305,000 residential, commercial, and government customers and 5,000 miles of pipeline in 16 counties in West Central Ohio. While DPL is exploring the sale of its gas retail distribution business unit, customers can expect to receive the same quality service and competitive prices that they receive today. Separately, Mr. Peter H. Forster, Chairman of DPL Inc., stated, "The current market level of DPL stock represents an attractive stock buyback Stock buyback A corporation's purchase of its own outstanding stock, usually in order to raise the company's earnings per share. stock buyback See buyback. opportunity." Accordingly, the Company is continuing its previously authorized stock Authorized Stock The maximum number of shares that a corporation is legally permitted to issue, as specified in its articles of incorporation. This figure is usually listed in the capital accounts section of the balance sheet. buyback program under which 2.6 million shares, or $45 million, have been acquired and authorization remains for an additional 3.7 million shares. "Our goal is to continuously improve total return to shareholders while retaining our financial flexibility," concluded Mr. Forster. DPL Inc. is a diversified diversified (di·verˑ·s energy company supplying electric and gas energy services to 500,000 electric customers and 305,000 gas customers in the Midwest through its subsidiary, The Dayton Power and Light Company. |
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